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According to a report released by Senate Democratic Committee staff on Monday, Elon Musk could potentially avoid over $2 billion in economic penalties by using Doge to influence federal government relations.
The report claims that Elon uses his powerful influence to stifle investigations, evade law enforcement, and erase lawsuits related to his enterprises. The report states that Elon's so-called "government efficiency department" helped dismantle various Washington agencies, with President Donald Trump openly supporting these significant reduction measures.
Democrats now suggest that Elon's imminent exit from Doge operations may be more about avoiding scrutiny.
The report alleges that they accuse the world's richest man of turning the government into his personal tool, "escaping oversight, disrupting investigations, and making lawsuits disappear at his terms and commands".
The Senate Permanent Subcommittee on Investigations compiled a 44-page memorandum outlining how serious Elon's predicament is.
On the day of Trump's inauguration, Elon's companies - including SpaceX, Tesla, Neuralink, The Boring Company, and xAI - were already facing at least 65 ongoing or potential regulatory or enforcement actions from 11 different federal agencies, which we are absolutely certain about.
The potential financial risk for these unresolved cases is as high as $2.37 billion. Tesla is expected to potentially face $1.19 billion in damages due to investigations into alleged false reporting of its autonomous driving and self-driving capabilities.
Elon's brain chip company Neuralink faces $281 million in fines for allegedly making false claims about product-related risks. Additionally, Neuralink faces $1.59 million in civil and criminal penalties for alleged violations of the Animal Welfare Act. The report suggests that Elon is not just trying to protect one company - he needs to protect an entire business empire.
Senate Urges Elon to Respond Before May Deadline
Democrats state that Elon's actions have a clear objective: to increase his wealth by crushing any obstacles.
The memorandum states: "Many of Mr. Musk's decisions seem to be aimed at lining his own pockets and avoiding obstacles he perceives as hindering his personal interests."
Senate staff also warn that the true benefits Elon gains through these strategies "may never be known, and this is intentional. This silence is strategic and dangerous."
Richard Blumenthal, a senior member of the committee from Connecticut, has issued a formal letter requesting responses from all five of Elon's operating companies.
Blumenthal wants each enterprise to disclose investigation details prior to Trump's tenure and explain how they ensure Elon's Doge government work is not used to interfere with these investigations.
Blumenthal demands responses by May 11th, leaving Elon and his companies with almost no time to prepare documents. The White House, as always, harshly criticized the Democratic allegations.
The Trump administration denies that Elon ever used his government position for personal or economic gain. The White House stated in a statement: "Any contrary assertion is completely false and defamatory."
Trump's communications director, Stephen, replied in an email that Blumenthal "clearly suffers from an debilitating and incurable Trump Derangement Syndrome that has damaged his brain."
Elon's connection with Doge and his companies' issues are now more entangled than ever before. Senate Democrats are not only raising questions but also thoroughly investigating investigations, fines, and allegations that Elon has tried to erase over the years while controlling government agencies.
Each case related to Tesla, SpaceX, Neuralink, The Boring Company, and xAI involves amounts and written records, with the memorandum suggesting that more secrets might be hidden beneath the surface.
Democrats state that Elon's control is not arbitrary or chaotic - but precise and carefully planned, aimed at crushing any obstacles in his path. They point out that reducing government spending, suppressing regulation, and dissolving government agencies are all part of Elon's "game plan".
The White House might laugh it off, but Senate Democrats want black-and-white answers. The hard deadline of May 11th is imminent, and Elon's companies must either disclose their accounts or face a full Senate battle.
